If the Fed increases the quantity of reserves, a new equilibrium is reached by a
A) leftward shift of the demand for reserves curve.
B) movement down the demand for reserves curve.
C) movement up the demand for reserves curve.
D) rightward shift of the demand for reserves curve.
E) None of the above answers is correct.
B
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During 2014, the country of Economia had a real GDP of $115 billion and the population was 0.9 billion. In 2013, real GDP was 105 billion and the population was 0.85 billion. In 2013, real GDP per person was
A) $128. B) $124. C) $135. D) $117.
If labor is the only variable input, a firm's labor demand curve is
a. labor's marginal product curve b. the upward-sloping portion of its marginal revenue product of labor curve c. the downward-sloping portion of its marginal revenue product of labor curve d. the marginal revenue product of labor curve above the reservation wage rate e. the marginal revenue product of labor curve above the average variable cost curve
Assuming that the average duration of its assets is five years, while the average duration of its liabilities is three years, then a 5 percentage point increase in interest rates will cause the net worth of First National to decline by ________ of
the total original asset value. A) 5 percent B) 10 percent C) 15 percent D) 25 percent
The concept that "there is no free lunch" reflects the notion that:
a. the benefit of certain "free" goods only accrues to society. b. unlimited resources are used to produce so-called "free goods" that are given up in order to produce the aforesaid "free" goods. c. scarce resources are used to produce so-called "free goods" that have alternative uses that are given up. d. even if your friend pays for your lunch, you'll have to repay the favor at a later time.